This is why Trump's tariffs can lead to cheaper coffee

The coffee price is soaring, but Trump's tariffs can actually make coffee cheaper in Sweden. Coffee lovers who are price-sensitive may well hope that Trump sticks to the tariffs, says Ulf Lindvall, CEO of the family-owned company Lindvall's coffee.

» Published: April 12 2025

This is why Trump's tariffs can lead to cheaper coffee
Photo: Oscar Olsson/TT

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The coffee price has risen sharply recently, and just in March, the price increase in Sweden was 30 percent compared to the same month last year, according to statistics from SCB.

As it has been now during the first part of this year, it's historically high levels that it has never been at, says Ulf Mazur, CEO of Matpriskollen.

The reason the coffee price is so high is, among other things, that the weather in coffee-producing countries such as Vietnam and Brazil has been unfavorable for coffee crops, which have thus become smaller and irregular. Logistics problems have also contributed to the higher price.

Expected to be expensive in the USA

The raw material price of certain coffee beans has, however, reached the lowest level in four months during the week. This is partly due to the USA's tariffs, and Vietnam would receive 46 percent tariffs.

Then one believes that the tariffs will make coffee so incredibly expensive in the USA, so that consumption will be strangled properly. Then the coffee that exists will be enough for the rest of the world, says Ulf Lindvall.

The price is also affected by the fact that it has rained more in Brazil recently and that there is a belief that coffee crops from there may become better in the future, says Ulf Mazur.

May become cheaper with tariffs

Coffee prices in stores are lagging behind the raw material price, as store-bought coffee was purchased earlier. If the tariffs are indeed introduced, it will likely become cheaper to buy coffee in stores in the future, according to Lindvall.

If Trump sticks to the tariffs, I think prices might drop in three months in stores.

According to Ulf Mazur, one should not count on it becoming very much cheaper to buy coffee in the future.

There are forecasts that it will remain at this level, but it will be quite volatile.

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By TTEnglish edition by Sweden Herald, adapted for local and international readers

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